Chapter 1 Slide Show

Chapter 1

Sydney MarshallEconomic Systems

Needs and Wants

• Wants1. Vacation, Trip to Hawaii2. New Car, Mercedes3. New Puppy

Needs1.Food, Water2.Transportation, Car3.Shelter, House

• Goods are things you can see and touch. They are the products you can purchase to meet your wants and your needs.

Example(s): An apple from the store.

New clothes.

• Services are the activities that are consumed at the same time they are produced.

• Intangible (no physical characteristics)• You use them to satisfy wants and needs however,

they must be provided for you at the time you want to consume them.

Example(s): restaurant service

the mailman

• Natural Resources are raw materials supplied by nature.

Examples: The Earth contains oil, minerals, and the nutrients to grow crops and timber to feed animals. Rivers, lakes, and oceans are the source of both food and water .

• People producing goods and services.Examples: (Chicken Noodle Soup) = Farmers raise livestock and crops,

Factory workers and managers use equipment designed by engineers and manufactured by other businesses to process the food.

~Truck Drivers~Sales people~Advertisers~Grocery store employees

• The products and money used in the production of goods and services

Example: money, trucks, buildings, equipment, and supplies